Digital Financial Inclusion and Economic Growth: Governance Challenges and Policy Implications
DOI:
https://doi.org/10.54518/ibr.1.1.2023.1162Keywords:
Digital Economy, Digital Financial Inclusion, Economic Growth, Financial Literacy, Governance ChallengesAbstract
Digital financial inclusion has emerged as an important component of contemporary economic development due to its ability to expand financial access, support economic participation, and accelerate digital economic transformation. This study systematically reviews the literature on digital financial inclusion and economic growth, with a particular focus on governance challenges and policy implications within the digital economy. The findings indicate that digital financial inclusion contributes positively to economic growth through improved financial accessibility, transaction efficiency, entrepreneurship, and participation in formal financial systems. However, the review also reveals that the effectiveness of digital financial inclusion is strongly influenced by governance quality, regulatory capacity, institutional readiness, digital literacy, and technological accessibility. In addition, digital inequality and exclusion remain significant barriers that may limit inclusive economic outcomes. The study concludes that successful digital financial inclusion requires integrated governance approaches that combine technological innovation, regulatory adaptation, institutional development, and social inclusion strategies to ensure sustainable and inclusive economic growth.
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